Major update on AEW's offer to Daniel Garcia; WWE reactions to re-signing - Reports

The Title Tuesday edition of AEW Dynamite brought a major sigh of relief to many All Elite fans as Daniel Garcia's future was confirmed. After months of uncertainty and rumors about a WWE debut, Garcia announced his decision live in the ring. Sources from both companies are now revealing details on the matter.

Red Death has been the subject of rampant rumors and speculation this summer. Word was that Triple H and William Regal were very eager to bring the PWG World Champion to WWE, but Tony Khan was hopeful he would re-sign. At one point, people backstage were confident Garcia would remain All Elite, but then it looked like he was leaving. The 26-year-old pulled a shocker by discussing his decision with the Dynamite crowd on Tuesday, then warning all AEW champions.

Garcia's new contract is said to be for three years, according to PWN. In another sign of how important this deal has been to All Elite Wrestling, the 7-year industry veteran reportedly received a "hefty" raise to his salary pay.

Garcia signed his new AEW contract earlier this week, according to the Wrestling Observer Newsletter. The last deal expired this month, and officials reportedly offered the Buffalo native an extension that was said to be much more lucrative than the offer WWE had on the table.

WWE's strong interest in Garcia increased the difficulty of the decision, which was acknowledged by Khan and Garcia. Despite WWE's interest and optimism, officials knew more than a month ago how Khan's deal was significantly higher, and there was a feeling then that Garcia would probably re-sign.

WWE sources also noted an internal belief that the lucrative offer had a significant influence over Garcia's decision. The rising star did go back and forth on making his decision, which shaped AEW's decision to have him lose to MJF at All Out as Khan didn't want Garcia to win unless he was signing the long-term deal

.Garcia staying with AEW reiterates his commitment to the company, and helps to solidify his spot for the next few years, while also propping him up with more credibility for future potential bidding wars. AEW benefits from the extension in obvious ways, but this also points to their ability to retain talents who have strong interest from the biggest wrestling promotion in the world.

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AEW creative update on Daniel Garcia

All Elite Wrestling is moving forward with the push of Daniel Garcia. The former ROH Pure Champion had been feuding with MJF, who defeated him at All Out, but was then temporarily written out of the storylines due to Garcia's post-match attack.

Garcia re-signed with AEW this past week and confirmed the new deal on Tuesday's Dynamite. It was reported the following day that the All Elite writing team now has Garcia factored into "significant creative plans" to move forward with.

Red Death's loss to MJF at All Out came amid a heated rivalry between the New Yorkers. Before that match, Garcia's last bout was a loss to International Champion Will Ospreay on July 3 at Beach Break. Garcia had been on an eight-match singles winning streak until Ospreay, and a nine-match streak overall.